Gold prices drop

Saigon Gold Jewelry Company gold bar price fell 0.35% to VND144.3 million (US$5,571.22) per tael.

Gold ring price similarly slipped to VND143.8 million per tael. A tael equals 37.5 grams or 1.2 ounces.

Globally, gold fluctuated between gains and losses on Monday as investors weighed the effect of falling oil prices and awaited economic reports for clues on the U.S. Federal Reserve's future interest-rate decisions.

Spot gold fell 0.2% to $4,185.13 per ounce, after hitting its highest since Oct. 2 earlier in the day. US gold futures for December delivery dropped 0.2% to $4,209.70.

A person arranges gold jewelry at a store in Ho Chi Minh City. Photo by VnExpress/Quynh Tran

The metal had nudged up on lower oil prices after US President Donald Trump’s reported energy ceasefire between Russia and Ukraine, Reuters reported.

The US dollar held its ground near its strongest level in a year and a half reached last week, making greenback-priced bullion more expensive for buyers holding other currencies.

"The macro backdrop remains challenging as persistent inflationary pressures continue to keep additional Fed tightening on the table, supporting Treasury yields and maintaining pressure on real rates," said Manav Modi, commodities analyst at Motilal Oswal Financial Services, as quoted by Bloomberg.

Gold is often viewed as a hedge against inflation, but higher interest rates can make the non-yielding asset less appealing to investors.